News Summary for the Past Week

The Financial Conduct Authority has warned firms that simply collecting Consumer Duty data isn’t enough to prove good client outcomes. The regulator points out that listing metrics without showing real action, clear risk identification, or verified improvements falls short.

While complex systems aren’t required, smaller advice firms must actively connect their data to genuine customer harm, keeping a clear audit trail to show that process tweaks actually make a meaningful difference.

Collective Defined Contribution Schemes

Retirement-only Collective Defined Contribution schemes are emerging as a new retirement option advisers will need to understand, warns former pensions minister Steve Webb. They pool members’ savings and longevity risk, potentially lowering costs, widening investment opportunities and providing income for life.

Unlike annuities, however, payments are targets rather than guarantees and could fall if investments underperform. The Government is preparing rules to support retirement-only and multi-employer schemes. Although still in their infancy, these schemes may offer attractive outcomes for some clients at or approaching retirement.

Industry Developments

Aviva has appointed industry veteran Mike Ambery as director of policy within its UK wealth business, starting this September. Moving over from Standard Life, where he served as retirement and savings director, Ambery brings extensive experience from his previous 17-year tenure at Hymans Robertson.

Reporting to managing director of wealth Michele Golunska, Ambery will help shape future UK pensions policy while keeping customer needs front and centre. He will also work to address major regulatory shifts. St James’s Place has cut its ongoing-advice compensation provision down to £110m as its historic service review nears completion.

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Vanguard has launched its new targeted support service on its UK personal investor platform, helping hesitant beginners take their first investment steps. At no extra charge, the online tool asks a few quick questions about goals and risk appetite to recommend suitable online fee disclosure options.

Pension Tax Speculation

AJ Bell urges new chancellor John Healey to implement a Pension Tax Lock, aiming to end persistent rumors surrounding retirement tax changes.

The growth of RCDCs and other collective schemes could lead to a shift in the way advisers approach retirement planning, with a greater focus on providing sustainable income for clients. This will depend on market development and the regulatory environment.

Aberdeen chief executive Jason Windsor admits the group is “impatient to go further” after its adviser business experienced £1.3bn in net outflows during the first half of 2026. Higher redemptions offset gross inflow gains, though positive market movements still pushed total adviser assets up.

Despite losing ground to market consolidation, Windsor highlights major platform operational improvements and AI integration to spark future commercial growth. Absolute Financial Group reached £2.4bn in assets under advice after sealing its 14th deal in eight months.

The firm expanded its South East footprint by acquiring three client books from retiring advisers and welcoming Canterbury-based Horton Independent Financial Planning to the team. Saturn has unveiled “Project OS”, an AI-powered operating system built to slash the high costs of delivering regulated advice.